<Most of my experience is with being a member of a team working on high end disk electronics. I'm not a senior member, just a grunt. >
Have you got any idea how soon we will see more wires going to the head? We currently see 4 wires and sometimes 5 used for MR heads vs 2 for TFI. They say there will soon be more components brought onto the suspension which will need more wires going directly to the head. If so, how soon do you see this happening?
If this is the case, do you see TSA, (trace leads etched onto the suspension) or FOS (flex on suspension) as being the winning method of interconnect? I have been reading that Quantum has gone with the TSA program that Hutchinson sells along with their suspensions. Have you any opinions of either the Hutchinson product, or Innovex's flex circuits?
I've been very impressed by Innovex's ability to remain profitable and maintain +40% margins despite what has happened in the last 2 quarters. Still, this risk to their domination of the head interconnect market is looming. I am also reading that Read-Rite is developing a FOS solution as I imagine may be the case for other head manufacturers.
It is still a big holding for me and I've hesitated to sell as I had believed their skill at manufacturing and good management would get them through, but if they are too far behind the technial curve, it will be difficult. So far, Seagate has been the only announced backer of Innovex with their design wins for the Cheetah.
On the other hand, if Hutchinson can win the hearts of all high end designers with their TSA, it would seem they will remain the key suspension supplier and will be very profitable in the future.
Regards,
Mark |
